European Commission urges "health" warning for online gambling

BRUSSELS (Reuters) - The European Commission will urge
countries to demand that online gambling advertisements display
warning messages like cigarette packets, according to a draft
document seen by Reuters.

The EU executive will make its recommendation to improve
controls of the 10.5 billion-euro ($14.3 billion) online
gambling industry next week, focusing on advertisements to
tackle compulsive gambling.

Although the recommendation is not legally binding, it could
prompt European countries to tighten rules in the area.

Growing at a rate of 15 percent a year, online gambling is
the fastest growing service activity in the EU, with 6.8 million
users in 2011, according to the European Commission.

The warning signs that online gambling companies will be
urged to feature in their advertisements include the chances of
winning and losing, information on the risk of becoming addicted
to gambling and assistance for compulsive gambling.

The EU is also proposing a ban on online gambling firms
sponsoring events aimed at minors.

Online gambling exchange Betfair, as well as traditional
bookmakers such as William Hill, have already come under the
scrutiny of governments and have bet heavily on the World Cup to
boost revenues.